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As Pakistan’s New Energy Vehicle (NEV) Policy 2025–30 begins to take shape, MG Motors is calling on the country’s automotive sector to realign its focus away from expensive hybrid electric vehicles (HEVs) and toward more accessible plug-in hybrid electric vehicles (PHEVs).
At a press briefing in Lahore, Syed Asif Ahmed, General Manager of MG’s Marketing Division, welcomed the NEV Policy but noted that its promised benefits have not yet reached the everyday consumer. He emphasized that while the policy recognizes electric, hydrogen, and plug-in hybrid vehicles, it has not delivered “real advantages” to the public due to skewed market pricing.
Ahmed criticized the auto market for positioning HEVs as luxury products rather than sustainable solutions.
“HEVs in Pakistan have become a luxury for a niche market,” he said, pointing out that basic hybrid SUVs start at Rs 9.6 million, while larger models can exceed Rs 16 million, figures far beyond the reach of average car buyers.
He also highlighted a key market flaw: in Pakistan, hybrid vehicles tend to be priced 45% higher than their petrol counterparts, compared to a global average premium of just 10%.
“A C-segment SUV hybrid may cost up to Rs 12 million, while its petrol counterpart is priced closer to Rs 8 million,” he added, noting that this Rs 4 million gap makes hybrids economically impractical for most.
MG’s Alternative: Affordable PHEVs with Real Impact
MG Motors is urging the industry to shift gears and explore PHEVs as a practical alternative. Unlike traditional hybrids, PHEVs allow users to drive in electric mode for daily city commutes while retaining hybrid functionality for longer journeys.
Ahmed cited the MG HS PHEV, touted as Pakistan’s first locally assembled PHEV SUV, as an example of consumer-centric innovation. Featuring a 16.6kWh lithium-ion battery with an electric-only range of over 52 kilometers, the vehicle also includes a 1.5L turbocharged engine for extended travel. Despite its advanced features, MG priced it below Rs 10 million, lower than many basic HEVs.
“Despite being a more advanced technology, the MG HS PHEV is priced lower than most hybrids in Pakistan,” Ahmed stated, emphasizing MG’s leadership in setting new standards for specifications and affordability in the market.
Critique of Policy Execution
While MG supports the intent behind the NEV Policy, the company took aim at earlier tax incentives, which Ahmed claimed only benefited principal companies and their local partners, without making hybrid vehicles affordable or environmentally impactful.
“Unfortunately, these subsidies neither helped the environment nor the people,” he said, arguing that a genuine shift toward consumer value and environmental responsibility is long overdue.
Since its market debut in 2021, MG has reported that its vehicles have collectively traveled nearly 350 million miles on Pakistan’s roads. With the NEV Policy now in effect, the company believes it’s time for the entire industry to choose: stick with high-margin strategies or move toward practical innovation.
“The potential is enormous,” Ahmed concluded. “But only if we prioritize real consumer value and environmental impact, over short-term profits.”
